Chad is 170 in the Human Development Index (out of 177)

Life Expectancy in Chad is 50.4

Adult literacy in Chad is 25.7%

Combined primary, secondary and tertiary gross enrolment ratio in Chad is 37.5%

GDP per capita is 1,427

The real rate of GDP growth is 0.6%

Population below poverty line: 80%

Of a 10 million plus population only 60,000 use the internet.

Radio is the main means of mass communication.

The country's television audience is limited to one city.

Chad's population at 10,146,000; 25.8% live in urban areas and 74.8% in rural ones

Chad’s economy has long been handicapped by its landlocked position. This is considered a huge disadvantages to all countries but is a huge barrier for developing Chad.

Unfortunately for Chad the barriers development that remain typical for developing nations are present

Geography•It cuts the country off from common sea resources such as fishing•It prevents seaborne trade which makes up a large percentage of international trade. •It makes it vulnerable to the countries around it (Chad’s neighbours are responsible for both invasions and the influx of Refugees) •Around the world, coastal regions tend to be wealthier and more heavily populated than inland ones.•It makes Chad reliant on the those around it as trade partners which has otherwise had a negative effect as Chad neighbours rank just as low and lower in the HDI Index

Although such a huge population provides potential for a strong workforce it also means weak infrastructure especially social is constantly burdened and under pressure

Population

The low adult literacy rate (25.7%) and poor gross enrolment ratio (37.5%) is testament to Chad’s weak and unskilled labour force.

Labour force is engaged in

agriculture: 80% industry and services: 20%

However

GDP composition by sector isagriculture: 21.5% industry: 47.8% services: 30.6%

Therefore

Over dependence on agriculture is shown to only handicap Chad’s economy.

With a 10 million strong population Africa's fifth-largest nation isn't utilising its potential workforce.

With nearly 80% of the population engaged in subsistence farming the potential for labour not necessarily skilled to boost GDP is enormous.

Usually monoculture is apparent in developing economies as they rely on one type of industry and find it difficult to diversify. This usually makes them susceptible to market conditions

However in Chad the majority of the population engaged in low productivity farming are susceptible to drought or poor weather conditions amplifying what is generally poverty stricken conditions

Human Capital

Since its independence from France in 1960 Chad had been plagued by crisis

•Enduring three decades of civil war

•Several invasions from neighbouring Libya

• Several rebellions broke out in 1998 despite several peace agreements between the government and the rebels

•In 2005, new rebel groups emerged in western Sudan and made probing attacks into eastern Chad

•Corruption has further spurred civil strife. President Idriss DEBY removed constitutional term limits and won another controversial election in 2006 extending his reign which began in 1998.

•Sporadic rebel campaigns continued throughout 2006 and 2007

•The capital experienced a significant rebel threat in early 2008

The effects this fighting has had has been constant and devastating in hampering Chad’s economy which

currently grows at less than 1%

National conflict in Chad has been responsible for

•Destruction of basic infrastructure and important intuitions

•Diversion of labour resource

•Less confidence provides disincentives for Foreign Direct Investment

Conflict

Crime

•Chad is an infamous destination for child trafficking

•Chadian children are also trafficked to Cameroon, the Central African Republic, and Nigeria for cattle herding

•The huge and almost commercial level at which these crimes operate is testament to the poor state of the judicial system in Chad.

•These elements act as a disincentive for investment in Chad, further adding to Chad’s economics woes

•Idriss Deby has been in power since leading several flawed presidential elections in 1996 and 2001.

Intervention

Countries like Chad are clearly suffering from a lack of political stability.

Often a question from us in the developed world is should we intervene to help struggling economies and democracies like in Chad

However Chad has had a history of this strategy. Often it appears that outside influence although with good intentions only makes the situation worse•In 1969 Muslim dissatisfaction with the first president, Ngarta Tombalbaye developed into a guerrilla war.

•In1975 President Tombalbaye was killed in a coup led by Felix Malloum.

•In 1979 Libya intervened by showing military support to replece Mr Malloum with Goukouki Oueddei.

•In 1982 the French intervened and helped Mr Habre capture the capital, N'Djamena However this didn’t help as Mr Oueddei escaped to the north, where he formed a rival government.

•With civil war still rife Mr Habre was then toppled by the Libyan-backed Idriss Deby.

•By the mid-1990s the situation had stabilised and in 1996 Idriss Deby was confirmed as president in Chad's first election.

•The World Bank was forced to pull out of the scheme due to Chad’s failure to honour an agreement signed in 2001 to ensure large amounts of oil income would be spent on boosting the economy.

•Although rich in natural resources including oil, corruption has continually stifled Chad’s development a specific example being illustrated recently.

•The world bank planned to support a investment project worth 4 billion in building an oil line.

•The World Bank however placed the condition that revenue would be invested in sectors such as public works, education, health and agriculture.

•Yet President Déby wanted to use funds to further equip his security forces to fight rebels backed by neighbouring Sudan.

A representative from the world bank criticed Chad for preventing their own development saying ‘You need to see the development of real democratic institutions’

Overall Chad suffers from inadequate infrastructure and internal conflict. Poverty is rife, and health and social conditions compare unfavourably with those elsewhere in the region.

Corruption still dictates politics in Chad and their still remains the basic north and south religious divide (Muslim and Christians) continuing to create social tension and making the position of president almost impossible

Unfavourable geographical conditions have always stifled Chad so any outside plan for its development needs to be centred around the whole area not just Chad itself.

As shown by their history of outside intervention (from France and Libya) military backing is unlikely to solve fundamental barriers in Chadian society.

Also with such huge elements of crime and corruption the influence of aid from the developed world and as well as more practical help from NGO’s will remain limited